Commercial Auto Insurance is a type of policy specifically tailored for vehicles used in business operations. In practical terms, it's vital because it provides coverage for damage and injuries that may occur during business-related trips. Legally speaking, it's mandatory for most businesses that operate vehicles, including transportation companies, to have this coverage as a way to safeguard against potential liability.
The costs for commercial auto insurance are typically higher than personal auto insurance, with annual premiums ranging between $4,000 to $7,000. This cost difference is due to the increased risks associated with business-related driving, including longer travel distances and more time spent on the road, which can increase the likelihood of accidents.
When it comes to Commercial NEMT Auto Insurance, it's a more specialized type of insurance policy designed specifically for Non-Emergency Medical Transportation companies. These policies account for the unique requirements and potential risks associated with transporting patients or clients who may have special medical needs. In addition to standard coverage, these policies may also include provisions for wheelchair lifts and other specialized equipment.
Much like commercial auto insurance, it's crucial for safeguarding your business against potential financial risks. However, the cost for NEMT insurance might be slightly higher due to the added risks associated with transporting patients, but it's a vital investment to protect and ensure the smooth operation of your NEMT business.
Depending on your contracting entity, you may need some or all of these policies before you are contracted/subcontracted: